Departmental History

In
the early 1970s there were more than 300 state agencies or departments,
including the Department of Public Welfare, the Department of Public Health,
the Department of Mental Health, regulatory agencies, and the Division
of Vocational Rehabilitation. A plan was developed by a Legislative Commission
to group "like" agencies and departments under one umbrella. The General
Assembly enacted the "Executive Organization Act of 1971," which created
the Department of Human Resources.

The
newly created department brought together a number of free-standing departments,
including mental health and social services. These departments became
divisions in the new Department of Human Resources.

The
Legislature enacted the "Executive Organization Act of 1973," which repealed
the 1971 Act. It kept much of the previous language but required the transfer
of divisions or agencies within other departments to what would be considered
the most appropriate department. Under this legislation, the Division
of Vocational Rehabilitation was transferred from the Department of
Public Instruction to DHR.

In
the early 1970s many rural North Carolinians had no access to medical
treatment. Many rural counties didn't even have a doctor. The rural poor
were either unable to see a physician or had to drive long distances to
do so. The Office
of Rural Health was established by Executive Order in 1974 to address
this issue.

In
1977, the legislature created the Division of Aging and added it to DHR so that more emphasis could be given to the needs
of the growing elderly population. In 2004, this division became the
Division of Aging and Adult Services.

In
1978, the Division of Medical Assistance was created
within the Department to administer the Medicaid program. Prior to DMA's
creation, Medicaid had been administered by the Division
of Social Services, with county departments of social services determining
eligibility. It was determined that with its large budget and rules and
regulations it needed to be a stand alone division and was transferred
from DSS. Eligibility continues to be determined by the county departments
of social services.

In
1989, the legislature created the Division
of Services for the Deaf and Hard of Hearing and a Council for the
Deaf and Hard of Hearing. At that time the division was the central administrative
office for the three schools for the Deaf and Hard of Hearing and provided
services to preschoolers and the adult population. In 1999 the schools
were transferred to the Division of Education and Early Intervention.

Also
in 1989, the Division of Public Health was transferred
from the Department of Human Resources to the Department of Environment,
Health and Natural Resources (DEHNR). Legislation was enacted in 1997
to transfer most of the Division of Public Health back to the Department
of Human Resources, and to change the name of the Department to the Department
of Health and Human Services.

From
the beginning of subsidized child day care in the early 1970s, that
program
was located in the Division of Social Services. It was later transferred
to the Division of
Facility Services, since most of the child care requirements
at that time included certification, monitoring for compliance of
regulatory items, and payments. The Division of Facility Services
changed its name to the Division
of Health Service Regulation in 2007

With
the advent of Smart Start in 1993, the Governor and Secretary created a Division
of Child Development. Child care services were transferred to that
division with the goal of creating a division that would emphasize the
needs of children and provide more affordable, high- quality child care.

In
1994, an Internal Audit Section was formed, which was formalized by the
the General Assembly in 1997 into the Office of the Internal Auditor (G.S.
143B-216.50-.51). The Office of the Internal Auditor performs various
types of audits and reviews both within the Department and at the subrecipient
level for grantees, based on need assessments coordinated with the DHHS
Office of the Secretary.